Dec 31, 2023

AvalonBay Q4 2023 Earnings Report

AvalonBay's operating results for Q4 2023 were announced, featuring a 3.0% dividend increase and the initial 2024 financial outlook was provided.

Key Takeaways

AvalonBay Communities, Inc. reported its Q4 2023 results, with EPS at $1.70, FFO per share at $2.63, and Core FFO per share at $2.74. The company also announced a 3.0% increase in its quarterly dividend.

EPS for Q4 2023 was reported at $1.70, a slight decrease from $1.72 in Q4 2022.

FFO per share for Q4 2023 increased to $2.63, compared to $2.57 in the same period last year.

Core FFO per share for Q4 2023 rose to $2.74, up from $2.59 in Q4 2022.

The company completed the development of Avalon Princeton Circle, and started construction of Avalon Wayne and Avalon Parsippany.

Total Revenue
$705M
Previous year: $670M
+5.2%
EPS
$2.74
Previous year: $2.59
+5.8%
Total Apartment Homes
90.67K
Previous year: 88.48K
+2.5%
Gross Profit
$244M
Previous year: $441M
-44.7%
Cash and Equivalents
$398M
Previous year: $613M
-35.1%
Total Assets
$20.7B
Previous year: $20.5B
+1.1%

AvalonBay

AvalonBay

Forward Guidance

AvalonBay provided its financial outlook for Q1 and the full year 2024, including projected EPS, FFO per share, and Core FFO per share.

Positive Outlook

  • Projected EPS for full year 2024 is expected to be between $6.27 and $6.77.
  • Projected FFO per share for full year 2024 is forecasted to be between $10.42 and $10.92.
  • Projected Core FFO per share for full year 2024 is anticipated to be between $10.53 and $11.03.
  • Same Store Residential revenue change is expected to be between 1.6% and 3.6%.
  • Residential NOI change is expected to be between 0.0% and 2.5%.

Challenges Ahead

  • Projected EPS for Q1 2024 is expected to be between $1.06 and $1.16.
  • Projected FFO per share for Q1 2024 is forecasted to be between $2.54 and $2.64.
  • Projected Core FFO per share for Q1 2024 is anticipated to be between $2.56 and $2.66.
  • Residential Opex change is expected to be between 4.5% and 6.7%.
  • Capital markets and transaction activity is expected to decrease EPS, FFO and Core FFO per share by $0.29 for FY 2024.